What context can I use each word in?
Learn when and how to use these words with these examples!
contract
Example
We signed a contract with the construction company to build our new house. [contract: noun]
Example
The company contracted with a marketing agency to promote their new product. [contracted: verb]
agreement
Example
We reached an agreement on the terms of the lease. [agreement: noun]
Example
The two sides agreed to settle the dispute out of court. [agreed: verb]
Good things to know
Which word is more common?
Agreement is more commonly used than contract in everyday language, as it can refer to any mutual understanding or arrangement. However, contract is more commonly used in legal and business contexts where a formal and enforceable agreement is necessary.
Whatโs the difference in the tone of formality between contract and agreement?
Contract is typically more formal and legally binding than agreement, making it more appropriate for formal and legal contexts. However, agreement can be used in both formal and informal situations, depending on the context and level of detail required.
